Obamacare: Pay More, Get Less | Doug’s Brief Case

Obamacare has so far functioned as an income transfer program in which middle income people finance Medicaid expansions and health insurance subsidies for the poor and near-poor.  Most uninsured middle class people have so far declined to purchase insurance because the coverage isn’t worth the price.  Their taxes are subsidizing coverage for others.  It seems unfair to hit them with an additional tax for refusing to buy insurance for themselves, especially when that coverage is less valuable than the coverage they are subsidizing for others.

Obamacare’s “pay more, get less” regime has made remaining uninsured an economically rational decision even for millions of people who are eligible for subsidies.  Which may explain why the government is underachieving in its efforts to persuade millions of people to buy a product they just don’t think is worth the price.

via Obamacare: Pay More, Get Less | Doug’s Brief Case.

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